Tata Power Renewable Signs MoU with Bank of Baroda for Solar Project Financing

Tata Power Renewable Energy Limited (TPREL), a subsidiary of Tata Power Company Limited, has entered into a strategic partnership with Bank of Baroda to promote the adoption of clean energy solutions among micro, small, and medium enterprises (MSMEs) as well as commercial and industrial (C&I) clients. 

The Memorandum of Understanding (MoU), announced on September 26, 2025, underscores both companies’ commitment to enabling affordable solar energy access across India.

Financing Framework for Solar Projects

Through this arrangement, Bank of Baroda will extend financial support for solar projects of up to 10 megawatts (MW) installed by TPREL or its authorised partners. The financing package offers attractive features, including interest rates beginning at 7.75%, collateral-free loans of up to ₹10 crore with CGTMSE coverage, repayment tenures stretching to 120 months, concessional processing fees, and reduced margin requirements from 20%. 

With pan-India coverage, the scheme is tailored to support businesses seeking to cut costs and lower their carbon footprint.

TPREL’s Achievements and Clean Energy Push

As of August 2025, TPREL has executed more than 2.49 lakh rooftop solar installations, building a cumulative capacity that exceeds 3.6 GWp. In the C&I space, the company already serves a wide customer base spanning sectors such as hospitality, automotive, aviation, education, HVAC, chemical, steel, electronics, and textiles. 

The collaboration strengthens TPREL’s role in driving renewable adoption, while aligning with India’s ambition to achieve 500 GW of renewable capacity by 2030.

Tata Power’s Wider Energy Footprint

The parent company, Tata Power, commands a diversified portfolio of 15.9 GW across generation, transmission, distribution, trading, storage, and solar cell and module manufacturing. Of this, clean energy accounts for 7.0 GW, representing 44% of capacity. Tata Power, which serves nearly 13 million customers nationwide, has committed to reaching Net Zero by 2045 and continues to expand its role as a leader in India’s energy transition.

Read More: Tata Capital IPO to raise ₹16,500–17,500 Crore in October; Tata Sons’ stake to fall to 86.5%!

Tata Power & Bank of Baroda Share Price Performance 

As of September 26, 2025, at 2:00 PM, Tata Power share price is trading at ₹383.40 per share, reflecting a decline of 0.67% from the previous closing price. 

As of September 26, 2025, at 2:00 AM, Bank of Baroda share price is trading at ₹247.52 per share, reflecting a decline of 2.10% from the previous closing price. 

Conclusion

The MoU between TPREL and Bank of Baroda represents a decisive step towards expanding green financing in India. By offering flexible funding options for solar projects and making clean energy more accessible to MSME and C&I customers, the collaboration supports both national sustainability objectives and the government’s low-carbon economy agenda.

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